F&I

Xtime Shows Dealers the ‘Fast Lane’ to Service Profits

April 13, 2018
• by Staff

REDWOOD CITY, Calif. — Recordbreaking U.S. car sales may have stalled out, but does that mean the brakes are on for a dealership’s profitable growth? Not a chance, says Xtime’s Jim Roche in his new book, “Fast Lane: How to Accelerate Service Loyalty and Unlock its Profit-Making Potential.”

“When looking at service and customer retention, 64% of dealers state retention is their No. 1 priority, yet 85% don’t have the technology or tools in-place to enable a superior ownership experience,” said Roche, who serves as senior vice president of marketing and managed services for Xtime (div. Cox Automotive) and is a contributor to Auto Dealer Today. “In ‘Fast Lane,’ my main takeaway for readers is that the average gross margin in service is 47%, and less than one-third of service visits takes place at a dealership. There’s your opportunity to drive profitable growth.”

In “Fast Lane,” Roche dives into the perceptions and attitudes of U.S. car owners toward service departments. He explains how dealerships can address their shortcomings in delivering the ultimate customer experience through analytically-driven insights, dealership case studies, and comprehensive best practices to unlock service’s profit-making potential.

Dealers, according to Roche, will need to wring additional operational efficiencies using modern technologies from each profit center going forward to have a healthy overall operation.

Trevor Gile, managing partner of Motorcars Honda in Cleveland Heights, Ohio agrees. “Jim Roche has a cutting-edge view, and this book shows exactly what it takes for dealers to stay ahead of the competition in today’s changing market. He’s taken everyday ideas and expanded them to point to the future.”